Fair Trade Commission Chairman, Self-Proclaimed 'Platform Gardener,' Says Consent Decree Is a 'Flower Shovel'

Fair Trade Commission and Competition Law Association Symposium on 'Evaluation and Future Improvement Directions of the Consent Decision System'
Seongwook Cho: "It is more desirable to promptly address ICT cases through consent decisions"
Despite the 'Apple 100 Billion Won Exoneration Controversy' at the end of August... Emphasizing the "Need for Consent Decision System"

[Asia Economy Reporter Moon Chaeseok] "The consent decree system is like a gardener's 'flower trowel' and will play an even more important role in the digital economy era."

On the 18th, Cho Sung-wook, Chairman of the Korea Fair Trade Commission (KFTC), said this at the symposium titled "Evaluation and Future Improvement Directions of the Consent Decree System," jointly hosted by the KFTC and the Korean Society of Competition Law at the Korea Chamber of Commerce and Industry in Seoul. The symposium was held online.

Earlier, at a press conference marking his first anniversary on the 9th, Chairman Cho likened the KFTC to a "gardener" and announced plans to promptly push forward legislation related to the digital fair economy, including the enactment of the Platform Fairness Act and the comprehensive revision of the Electronic Commerce Act.

In his opening remarks, Chairman Cho explained, "The greatest advantage of the consent decree system is that it allows for timely measures suited to the current market situation through the swift conclusion of cases."

He added, "In the rapid transition to the digital economy, it may be more desirable to take timely action through consent decrees for information and communication technology (ICT)-related cases that require quick responses to rapidly changing markets."

In the first session of the symposium, Professors Hwang Tae-hee of Sungshin Women's University and Nam Su-jin of Hankuk University of Foreign Studies presented on the topic "Current Status and Comparative Legal Review of the Consent Decree System."

Designated discussants included Professor Shin Young-soo of Kyungpook National University, Dr. Yoo Young-guk of the Korea Fair Trade Mediation Agency, and Oh Kyu-sung, Trial Manager at the KFTC.

In the second session, lawyers Kwon Guk-hyun from Law Firm Ije and Lee Min-ho from Kim & Chang Law Office presented on "Activation Measures for the Consent Decree System in the Digital Economy."

Designated discussants included Professor Nam Yoon-kyung of Gwangju University, U.S. attorney Kang Ji-won (National Assembly Research Service), and Lee Ji-hoon, Manufacturing Industry Monitoring Division Chief at the KFTC.

A KFTC official stated, "The KFTC plans to carefully review the opinions raised by academia and practitioners at this symposium and reflect them in future policy enforcement."

Previously, on August 24, the KFTC accepted Apple Korea's voluntary corrective measures under the consent decree system but faced criticism that it had effectively given Apple a "get-out-of-jail-free card" for 100 billion won.

Apple Korea avoided administrative sanctions by submitting a voluntary corrective plan to the KFTC, which included investing 100 billion won to support R&D for small and medium-sized enterprises and IT education for vulnerable groups, as well as reducing iPhone repair costs by 10%, after engaging in 'gapjil' such as shifting iPhone repair and advertising costs to domestic mobile carriers.

Regarding the Apple Korea case, Chairman Cho said at the press conference on the 9th, "If the KFTC's ruling is contested and goes to court, it could take 5 to 10 years until a Supreme Court decision, by which time technology and industry would have already changed," adding, "The consent decree system contributes to the market by swiftly remedying damages."

Schedule of the Fair Trade Commission-Korea Competition Law Association Academic Symposium on Consent Decree to be held on the 18th. (Source: Fair Trade Commission)